Cph Group Ag Class A · SIX:CPHN
Cph Group Ag Class A — Investor Day (September 2024)
55 slides from Cph Group Ag Class A's investor day presentation, Sep 24, 2024
Slide 1: CPH Group AG Investors' Day 24 September 2024
CPH Group AG Investors‘ Day 24 September 2024 CPH Group AG Investors’ day Perlen, 24 September 2024
Slide 2: Disclaimer
Disclaimer Investing in the shares of CPH Group AG involves risks. Prospective investors are urged to consult their investment advisors and tax advisors prior to investing in CPH Group AG shares. This document contains forward-looking statements which involve risks and uncertainties. These statement
Slide 3: Agenda
Agenda 1. Strategy and Business Development 2024 Peter Schildknecht 2. Excursus: Spun-off Perlen Industrieholding AG Peter Schildknecht 3. Financial Development and Sustainability Gerold Brütsch 4. Outlook 2024 Peter Schildknecht 5. Focus topic Packaging Marc Haller 6. Q&A All 7. Factory tour Packag
Slide 4: The first half of 2024 at a glance
The first half of 2024 at a glance 177 17 30 Sales1 EBITDA margin1 EBITDA1 in CHF millions in % in CHF millions 21 904 58 Net result1 Employees1 Equity ratio1 in CHF millions in full-time equivalents in % 1 Aus verbleibenden Bereichen CPH Group AG is an industrial group founded in 1818 and headquart
Slide 5: Key figures for the first-half of 2024
Key figures for the first-half of 2024 01.01.-30.06., in CHF millions 2024 2023 ± ± in % Sales1 400 Sales1 177 190 -13 -6.9% 300 EBITDA1 30 33 -3 -9.6% EBITDA margin 17.1% 17.6% 200 EBIT1 24 28 -4 -14.4% EBIT margin 13.3% 14.4% 100 Result from discontinued -30 29 - n.a. 0 operations 2020 2021 2022 2
Slide 6: Two industrial companies in growth markets
Two industrial companies in growth markets Holding Strategic and financial management with focus on - Innovation and product development - Growth in attractive niche markets - Operational excellence Division Chemistry Packaging Worldwide in molecular sieves for worldwide for coated barrier films Mar
Slide 7: Segment results for the first-half of 2024
Segment results for the first-half of 2024 CPH Group Spun-off divisions Chemistry Packaging (Remaining (Paper) divisions) 01.01.-30.06., in CHF millions 2024 2023 ±% 2024 2023 ±% 2024 2023 ±% 2024 2023 ±% Sales 62.0 57.5 +7.7% 114.9 132.5 -13.3% 176.9 190.0 -6.9% 124.6 141.7 -12.1% EBITDA 1 10.4 9.4
Slide 8: Business and operations locations worldwide
Business and operations locations worldwide Müllheim Zvornik Perlen Rüti Donghai Whippany Suzhou Shanghai Louisville Vadodara Singapore Anápolis CPH Group AG Investors’ day Perlen, 24 September 2024 8
Slide 9: Common value drivers and success factors
Common value drivers and success factors Growth driver / Megatrends • Demography • Health • Energy • Mobility Strategic roadmap Leading market positions • Innovation and product • Top 3 positions in attractive development niche markets • Organic growth • Global presence • Potential for non-organic •
Slide 10: Overview Business development
Overview Business development Sales EBITDA and EBITDA-Margin In CHF million In Mio. CHF / % of Sales 400 70 40% CAGR 11.8% 350 CAGR 18.0% 60 300 30% 50 250 40 200 20% 150 30 100 20 10% 50 10 0 0 0% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Sales split by regions 2023 Solid equity ratio as of
Slide 11: Business development Chemistry and Packaging
Business development Chemistry and Packaging Zeochem Sales EBITDA and EBITDA margin In CHF millions In CHF millions / % of sales 140 25 40% CAGR 12.2% 120 20 100 30% CAGR 23.5% 80 15 20% 60 10 40 10% 5 20 0 0 0% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Perlen Packaging Sales EBITDA and EBIT
Slide 12: M&A strategy
M&A strategy Rationales for M&A and strategic partnerships • Support transformation • Consistent strategy implementation • Generate enterprise value Systematic and global approach • Focus on growth markets in Chemistry and Packaging • Ongoing market screening and target identification resulting in c
Slide 13: Agenda
Agenda 1. Strategy and Business Development 2024 Peter Schildknecht 2. Excursus: Spun-off Perlen Industrieholding AG Peter Schildknecht 3. Financial Development and Sustainability Gerold Brütsch 4. Outlook 2024 Peter Schildknecht 5. Focus topic Packaging Marc Haller 6. Q&A All 7. Factory tour Packag
Slide 14: Excursus: Spun-off Perlen Industrieholding AG
Excursus: Spun-off Perlen Industrieholding AG CPH Group AG Investors’ day Perlen, 24 September 2024
Slide 15: Overview
Overview Regional paper business • Implementation of last man standing strategy • High barriers to market entry (capital intensity) enable solid cash flows over the cycle, once supply and demand reach equilibrium • Good competitiveness thanks to high productivity • Solid balance sheet and strong anc
Slide 16: Over the counter trading
Over the counter trading The shares of Perlen Industrieholding AG have been traded over the counter since 25 June 2024 • OTC-X of Berner Kantonalbank • LPZ-X of Bank Lienhardt & Partner Share information Shareholder structure • Number of shares outstanding: 6,000,000 registered shares 33.6% • Nomina
Slide 17: Perlen Papier AG Last man standing strategy in relevant markets
Perlen Papier AG Last man standing strategy in relevant markets • Clear commitment to paper business • Debt-free • High barriers to market entry (capital intensity) enable solid cash flows over the cycle, once supply and demand reach equilibrium • Good competitiveness thanks to high productivity • S
Slide 18: Real estate
Real estate 410,000 sqm developable industrial space • 340,000 sqm for paper production (incl. additions such as fibre and/or energy projects) • 70,000 sqm leased under leasehold • Site utilisation: Exploiting the utilisation potential of real estate in Perlen with the settlement of complementary in
Slide 19: Outlook & dividend
Outlook & dividend Outlook 2024 • Further decline in demand for graphic printing papers in Europe/worldwide • Consolidation pressure intensifies • Net sales 2024 significantly below previous year • Waste paper and energy costs are likely to further increase • Negative EBITDA expected in 2024, positi
Slide 20: Agenda
Agenda 1. Strategy and Business Development 2024 Peter Schildknecht 2. Excursus: Spun-off Perlen Industrieholding AG Peter Schildknecht 3. Financial Development and Sustainability Gerold Brütsch 4. Outlook 2024 Peter Schildknecht 5. Focus topic Packaging Marc Haller 6. Q&A All 7. Factory tour Packag
Slide 21: Half Year 2024 Consolidated income statement I (remaining divisions)
Half Year 2024 Consolidated income statement I (remaining divisions) 01.01.-30.06., in CHF millions 2024 % 2023 % ± ±% Net sales 1 176.9 100.0 190.0 100.0 -13.1 -6.9% Other operating income 1.4 0.8 1.1 0.6 Change in inventories -2.5 -1.4 1.0 0.5 Cost of materials 2 -91.6 -51.8 -106.4 -56.0 Cost of e
Slide 22: Half Year 2024 Consolidated income statement II
Half Year 2024 Consolidated income statement II 01.01.-30.06., in CHF millions 2024 % 2023 % ± ±% EBITDA 30.2 17.1 33.4 17.6 -3.2 -9.6% Depreciation expense -6.7 -3.8 -5.9 -3.1 Operating result EBIT 23.5 13.3 27.5 14.4 -4.0 -14.4% Financial result 0.6 0.4 -0.9 -0.5 Non-operating result 1.6 0.8 13.3
Slide 23: Half Year 2024 Consolidated balance sheet
Half Year 2024 Consolidated balance sheet in CHF millions 30.06.2024 % 31.12.2023 % ± ±% Cash and cash equivalents 30 8.7 108 18.0 Trade receivables 1 62 18.1 71 11.9 Inventories 1 75 21.9 102 17.1 Other current assets 16 4.7 25 4.1 Fixed assets 160 46.6 292 48.9 Total assets 343 100.0 598 100.0 -25
Slide 24: Half Year 2024 Consolidated cash flow statement
Half Year 2024 Consolidated cash flow statement 01.01.-30.06., in CHF millions 2024 % 2023 % ± ±% Net result -9 -100.0 61 100.0 -69.4 n.a. Non-cash items 1 26 296.6 -9 -14.0 Cash flow 17 196.6 52 86.0 -35.2 -67.4% Change in net working capital 8 88.4 -1 -2.0 Cash flow from operating activities 25 28
Slide 25: Information for shareholders
Information for shareholders Market capitalisation as of 30.06.2024 Share price development 01.01.2020-20.09.2024 in CHF million 80 60 411 40 20 6,000,000 Ordinary Shares with nominal value of 2020 2021 2022 2023 2024 CHF 0.15 each in CHF CPHN SPIX adjusted Dividend policy and dividend Shareholder s
Slide 26: Investment Case Reasons to Invest
Investment Case 7 Reasons to Invest 1. Potential for value increase by focusing on continued organic growth, combined with targeted acquisitions 2. Leading market position in the relevant sales markets with independent, established brands 3. Consistent implementation of international expansion strat
Slide 27: Sustainability: Attitude and goals
Sustainability: Attitude and goals • Long-term and sustainable value creation anchored in the articles of association at AGM 2023 as a corporate purpose • Striving for to achieve net zero, developing an appropriate stage plan, while maintaining competitiveness ▪ Examination and exploitation of ESG-d
Slide 28: Sustainability: Dimensions
Sustainability: Dimensions Environmental Social Governance • High climate awareness • Sustainable relationships with • Registered shares as single • Continuous initiatives for clients, suppliers, employees, class share category energy consumption and communities • Neither registration nor voting red
Slide 29: Agenda
Agenda 1. Strategy and Business Development 2024 Peter Schildknecht 2. Excursus: Spun-off Perlen Industrieholding AG Peter Schildknecht 3. Financial Development and Sustainability Gerold Brütsch 4. Outlook 2024 Peter Schildknecht 5. Focus topic Packaging Marc Haller 6. Q&A All 7. Factory tour Packag
Slide 30: Outlook 2024
Outlook 2024 CPH Group • Geopolitical instability and uncertain economic outlook • Sales below previous year due to falling raw material prices • EBITDA in the mid double-digit millions • Positive net result despite result from spun-off Paper business of CHF -30 million in the first half of 2024 • F
Slide 31: Agenda
Agenda 1. Strategy and Business Development 2024 Peter Schildknecht 2. Excursus: Spun-off Perlen Industrieholding AG Peter Schildknecht 3. Financial Development and Sustainability Gerold Brütsch 4. Outlook 2024 Peter Schildknecht 5. Focus topic Packaging Marc Haller 6. Q&A All 7. Factory tour Packag
Slide 32: Packaging Division
CPH Group Investors’ Day 24. September 2024 Packaging Division CPH Group AG Investors’ day Perlen, 24 September 2024
Slide 33: Perlen Packaging – Global Sites
Perlen Packaging – Global Sites Own production sites in key pharmaceutical markets The largest pharma markets Outlook 2026 RANKING COUNTRY 1 USA 2 China 3 Germany 4 Japan 5 France 6 Brazil 7 Great Britain 8 Italy 9 India Source: IQVIA Market Prognosis Turnover 2023: CHF 237 Mio. with 551 employees C
Slide 34: 100% Pharma focus
100% Pharma focus Plastic films for pharmaceutical tablet blisters Barrier effect Hohe Barriere CPH Group AG Investors’ day Perlen, 24 September 2024 34
Slide 35: Market for tablets & capsules / Solida
Market for tablets & capsules / Solida Oral Solid Dose (OSD) Global sales of pharmaceuticals in form of tablets & capsules (OSD) in USD billion 600 520 Total OSD market 594 billion USD Perlen Packaging is primarily active in the 500 highly regulated Rx and OTC market. 400 Tablets and capsules remain
Slide 36: Megatrends in pharma
Megatrends in pharma World population: Growth and ageing 1950-2090 Megatrends 100+ years old • Ageing and growth of the world population 90 years old • Autonomy and self-determination • Civilization & lifestyle diseases 80 years old • Improved medical care 70 years old 60 years old Benefits Oral Sol
Slide 37: Global Sales Network
Global Sales Network Close to our customer • Active in more than 85 countries • Global Key Account Management • 11 local slitting partners & distributors • Local agents in over 40 countries CPH Group AG Investors’ day Perlen, 24 September 2024 37
Slide 38: Pharma production
Pharma production Highest regulatory requirements • ISO 15378 GMP (Good Manufacturing Practice) • ISO 9001 (Quality Management System) • ISO 50001 (DE) (Energy Management System) • US FDA DMF No. 10686, 9072, 30501 (United States Food and Drug Administration, Drug Master File) • China, CDE (Centre f
Slide 39: Successful strategy implementation
Successful strategy implementation Increase in sales and EBITDA CPH Group AG Investors’ day Perlen, 24 September 2024 39
Slide 40: Strategy-compliant & strong growth with high-barrier products
Strategy-compliant & strong growth with high-barrier products Volume growth 2019 to 2023 Ultra protect 16.9% Ultra-high Barrier MultiLayer ultra PVC / PE / PVdC / PE / PVC 10.0% High Barrier Tristar ultra 4.0% Medium Barrier PVC / PE / PVdC 2.1% MONO PVC / PVdC CPH Group AG Investors’ day Perlen, 24
Slide 41: Pharma blister market Latin America
Pharma blister market Latin America Honduras Guatemala El Salvador Venezuela Nicaragua Costa Rica Panama The fastest growing market in Colombia the «pharmerging countries» Ecuador according to IQVIA: Peru Brazil Bolivia Pharma Cluster «Sao Paulo» #1 Paraguay Pharma Cluster Agents «Anápolis» #2 Distr
Slide 42: Centre of Excellence for barrier films in Brazil
Centre of Excellence for barrier films in Brazil Centre of competence Perlen Packaging Ltda., Anápolis • Most modern facility in Latin America • Start of operations 3rd quarter 2023 • 80 employees CPH Group AG Investors’ day Perlen, 24 September 2024 42
Slide 43: Global Capacity Expansions
Global Capacity Expansions Perlen (CH) Müllheim (DE) Suzhou (CN) Anápolis (BR) Whippany (US) Coating of Production of Coating of Coating of Mono films and Mono films and Mono films and Mono films and slitting/packaging slitting/packaging slitting/packaging slitting/packaging Slitting/Packaging Capex
Slide 44: New technology centre in Switzerland
New technology centre in Switzerland Technical Centre | Blister Line | Laboratory • State-of-the-art thermoforming line for tablet blisters Possibility to produce blisters from PVC, PP and PET Start of operation January 2024 Customer benefits: − Product developments − Process improvements CPH Group
Slide 45: Environment and sustainability
Environment and sustainability CPH Group AG Investors’ day Perlen, 24 September 2024 45
Slide 46: Pharma Blister – CO2 Footprint
Pharma Blister – CO2 Footprint Packaging waste in tonnes Europe 2021 84’300’000 CO2 balance pharmaceuticals* Ingredient Packaging 90% 10% 108’000 Packaging waste PVC pharma blister 1.8% 3.9% 1.7% 2.6% Tertiary Secondary Patient Blister packaging packaging information leaflet of which PVC approx. 1 -
Slide 47: Sustainability Strategies
Sustainability Strategies CO2 Reduced Products Introduction of products with reduced CO2 footprint. Action: Development of a new CO2 optimized product line using bio-based PVC granulate. Post Industrial Recycling Waste generated during production or operation is recycled internally or externally by
Slide 48: Our answer to a sustainable future PERLALUX – Mono DeCarb
Our answer to a sustainable future PERLALUX® – Mono DeCarb By using circular and bio-circular raw materials in combination with the utilization of renewable energies, we can produce PVC mono films with a greatly reduced CO2 footprint. CPH Group AG Investors’ day Perlen, 24 September 2024 48
Slide 49: PERLALUX - Ultra protect
PERLALUX® - Ultra protect Alternative to Coldform and Aclar® with excellent barrier properties • Coldform blisters are approx. 50 - 100% larger due to the limited formability of aluminium. • Aclar® can be processed less efficiently on thermoforming blister machines. CPH Group AG Investors’ day Perle
Slide 50: Vision for Perlen Packaging
Vision for Perlen Packaging Megatrends resulting in growing markets in the Healthcare Segment • Attractive and resilient B2B niche markets Niche leader • A market that is clearly subject to megatrends • Worldwide 3 Global Players Highly • High entry barrier, e.g. Regulatory, Investments protected •
Slide 51: Where is the journey going?
Where is the journey going? Original strategy from 2012; global presence in Europe, Asia, and America largely implemented. Continuation of profitable growth with a focus on pharma • Growth through market penetration in existing business • Market development in regional 'white spots,' including Afric
Slide 52: Always one step ahead
Always one step ahead CPH Group AG Investors’ day Perlen, 24 September 2024 52
Slide 53: Agenda
Agenda 1. Strategy and Business Development 2024 Peter Schildknecht 2. Excursus: Spun-off Perlen Industrieholding AG Peter Schildknecht 3. Financial Development and Sustainability Gerold Brütsch 4. Outlook 2024 Peter Schildknecht 5. Focus topic Packaging Marc Haller 6. Q&A All 7. Factory tour Packag
Slide 54: Q&A CPH Group
Q&A CPH Group CPH Group AG Investors’ day Perlen, 24 September 2024 54
Slide 55: Calendar and contacts
Calendar and contacts Calendar 06.11.2024 ZKB Swiss Equity Conference, Zurich 08.01.2025 Baader Helvea Swiss Equities Conference, Bad Ragaz 25.02.2025 Media and Investors‘ Conference, 2024 Annual Report 18.03.2025 Annual General Meeting, Lucerne Contacts CPH Group AG • Dr. Peter Schildknecht, CEO, +